UK charges 6 with multimillion dollar carbon fraud

AP News
Posted: Oct 01, 2013 2:30 PM

LONDON (AP) — British prosecutors say six men have been charged over a massive pollution credit fraud scheme that cost the British government many millions of pounds (dollars.)

The Crown Prosecution Service says that four of the men created a string of dummy companies that traded in carbon credits, typically certificates which give polluters the right to emit a set amount of carbon dioxide in return for money paid to companies that fight climate change by taking steps such as planting trees or switching to renewable energy sources.

Prosecutors said Tuesday the four men improperly claimed refunds for taxes never paid on the credits, racking up 11 million pounds (nearly $18 million) during a seven-month period in 2009. The other two men are charged with money laundering.

None of them have entered pleas.